ISLAMABAD – Business and industry groups have criticized the government’s decision to exclude solar net-metered consumers from its winter electricity package, urging the authorities to ensure K-Electric passes the benefits to Karachi’s residents.
During a public hearing by the National Electric Power Regulatory Authority (Nepra), stakeholders raised concerns about delayed implementation, with nearly 20 days of the three-month package already lapsed. Business representatives questioned the government’s decision to apply reduced rates retroactively.
Key Points Raised:
KE’s Role Under Scrutiny: Karachi Chamber of Commerce and Industry’s Tanveer Bari accused K-Electric (KE) of withholding Rs132 billion in relief under various mechanisms and demanded guarantees to prevent court actions delaying benefits.
Conditional Assurances: KE CEO Moonis Abdullah Alvi agreed to extend the package, provided it was applied to actual unit consumption and did not impact KE’s cash flow.
Policy Guidelines Sought: Power Division officials emphasized the need for uniform application nationwide, ensuring KE adheres to the package terms.
Package Details:
The winter package, effective December 1 through February 28, 2025, offers reduced electricity rates for residential, commercial, and industrial consumers based on incremental consumption, with discounts ranging from 18% to 50%. However, the exclusion of net-metered consumers was justified by officials, citing concerns about increased marginal costs.
Base rates for domestic consumers range from Rs37.49 to Rs52.07 per unit, with incremental usage charged at Rs26.07 per unit. Similarly, commercial consumers’ rates, currently Rs39.53 to Rs48.78 per unit, will also drop to Rs26.07 per unit for additional consumption.
While the package aims to boost consumption by 16%, stakeholders argue its scope must be expanded to ensure equitable benefits across all categories, including solar net-metered users.
Story by Khaleeq Kiani
